Which of the Following Is the Correct Formula to Use

question 32

Multiple Choice

Which of the following is the correct formula to use to calculate the contribution margin per unit?

• A)Selling price per unit less fixed costs and variable costs per unit.
• B)Selling price per unit less fixed costs per unit.
• C)Selling price per unit less variable costs per unit.
• D)None of the answers is correct.

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Definitions:

Rosebud

A type of torch tip used in welding and cutting applications, named for its rose petal-like flame pattern, commonly used for heating.

Forged Journal Cross

A forged journal cross is a component in the driveline of a vehicle, made through forging to achieve strength and durability, used to connect different shafts within the drive system.

Universal Joint

An assembly consisting of a trunnion cross and bearings that connects a pair of yokes for purposes of transmitting drive torque on an angled plane.

Trunnions

Trunnions are cylindrical protrusions used as a pivot or mounting point, commonly found in cannons, tanks, and heavy machinery for rotation or support.